Lincoln Continental, (Eighth generation (1988–94).

By the late 1980s, the luxury segment in which the Continental competed had changed drastically from a decade before. In addition to traditional competitors Cadillac and Chrysler, the downsized Continental now competed not only against Mercedes-Benz, BMW, and Audi but with the top of the line vehicles of Acura, Lexus, and Infiniti. Lincoln chose to completely reinvent the Continental.

Launched on December 26, 1987 and sharing its unibody chassis with the Ford Taurus and Mercury Sable, the 1988 Continental became the first front-wheel drive Lincoln; it was also the first Lincoln since 1948 sold without an available V8 engine. As part of a more conservative exterior, the sloping "Continental trunklid" was deleted. Although four inches longer, it was 170 pounds lighter than its predecessor. For the first time since 1979, the Continental closely matched its Cadillac Sedan de Ville counterpart in size. By interior volume the Continental was the largest front-wheel drive car sold in 1988, and was recognized by Car and Driver on its 1989 Ten Best list.

Power was provided by a 140 hp 3.8L Essex V6 newly introduced to the Taurus/Sable for 1988. Exclusive to the Continental was adaptive air-ride suspension. Variable assist power steering was standard. In 1990 (MY 1991), engine output was revised to 155 hp, and to 160 hp for MY 1993. All Continentals were equipped with a 4-speed overdrive automatic transmission.

Body

While the exterior of the Continental adopts many of the flowing lines, including the flush-mounted glass, flush-mounted headlights, and wraparound doors of its counterparts alongside the Taurus, it also adopts several more conservative styling features, including a more upright C-pillar, chrome grille, and long deck; the redesign of the sloping trunklid increased trunk space from 15 to 19 cubic feet (nearly matching the Town Car).

In October 1988 for 1989 model year, a redesigned dashboard was introduced to accommodate dual air bags. This unprecedented move made the Ford Motor Company the first US automaker to offer airbags as standard equipment for both the driver and front passenger (the second automaker worldwide after Porsche's 1987 944 Turbo).

In 1989 for the 1990 model year, a minor exterior update featured a new grille, hood ornament, and taillights. In late 1993 for MY 1994, a larger facelift was given, including new bumpers, rocker moldings, and bodyside moldings. Exterior trim was redesigned including a restyled argent-colored grille, redesigned taillamps, revised decklid trim, and the Lincoln nameplate is moved onto the grille and taillamps. The bucket seat option was given a redesigned steering wheel.

Trim

As part of the redesign, Lincoln simplified the trim lineup; only standard (later named "Executive") and Signature Series remained. For the first time since 1981, 6-passenger seating made its return. Leather seats were standard (with velour available as a no-cost option). Major options included a compact disc player, InstaClear electrically heated windshield (1988–1992), JBL sound system, power glass moonroof, keyless entry, anti-theft alarm system, cellular phone (starting MY 1990), three-position memory seat, and choice of wheels.

For MY 1993 (1992 production), an "individual seats" group was available which ditched the usual chrome column shifter and 50/50 "comfort lounge" split bench seating (and 6-passenger capacity) for a center console with floor shifter (a Continental first), storage armrest, Cup holder, and 5 seats.

1994 was the last year that the Continental was offered in Executive and Signature Series trims. An Executive Touring package was also available.